Laramie Corp. offered an incentive stock option plan to its employees. On January 1, 2021, options were granted for 65,000 $1 par common shares. The exercis price equals the $4 market price of the common stock on the grant date. The options cannot be exercised before January 1, 2024, and expire December 31, 20 Each option has a fair value of $1 based on an option pricing model. Which is the correct entry to record the exercise of 80% the options on April 15, 2024, when the market price of the stock was $7? Cash Multiple Choice Cash 208,000 Paid-in capital-stock options Common stock 52,000 65,000 Paid-in capital-excess of par 195,000 Cash 312,000 Paid-in capital-stock options 52,000 Common stock 52,000 Paid-in capital-excess of par 312,000 208,000 Prev 25 of 31 Next > previous 86F Sunny 4, 1041 1/20/20 Under its executive stock option plan, N Corporation granted options on January 1, 2021, that permit executives to purchase 13.0 million of the company's $1 par common shares within the next eight years, but not before December 31, 2023 (the vesting date). The exercise price is the market price of the shares on the date or grant, $14 per share. The fair value of the options, estimated by an appropriate option pricing model, is $4 per option. No forfeitures are anticipated. Ignoring taxes, what is the effect on earnings in the year after the options are granted to executives? (Round your answer to 1 decimal place.) Multiple Choice 0 $0 $17.3 million $520 million $78.0 million 1041